Three Long Island lawyers stand accused of teaming up with a Manhattan dominatrix and a Manhattan fetish club to run a $50 million mortgage scam. Prosecutors allege the lawyers were part of a scheme that took out mortgages on more than 50 homes in the exclusive Long Island town of Southampton on behalf of fake buyers. Prosecutors say the schemers pocketed the mortgage money and left the houses without owners and in foreclosure.

Prosecutors allege that George O. Guldi, a lawyer in private practice in Westhampton Beach and former member of the Suffolk County Legislature, handled the legal work in dozens of fraudulent transactions that made him millions. A second lawyer, Ethan E. Ellner of Plainview, is alleged to have used his title company to create fake titles used in the scam. A third lawyer, Dustin J. Dente of Roslyn, is also alleged to have participated in the scheme.

The fake buyers were recruited from among the clients of Arena Studios, a sexual fetish fantasy business owned by dominatrix Carrie Coakley and her husband, Donald MacPherson, prosecutors charge. The business provides a "beautifully decorated and fully equipped private dungeon" where clients and dominatrixes can meet.

At a news conference this week, Suffolk District Attorney Thomas J. Spota said that clients of the dungeon were recruited to take part in the scheme as straw buyers in exchange for payments of $5,000 to $10,000. Mortgage documents would grossly overstate their income and employment information so that they would qualify for millions of dollars in mortgage loans.

Comments

Lawyers, Dominatrix Whip Up Mortgage Scam

Three Long Island lawyers stand accused of teaming up with a Manhattan dominatrix and a Manhattan fetish club to run a $50 million mortgage scam. Prosecutors allege the lawyers were part of a scheme that took out mortgages on more than 50 homes in the exclusive Long Island town of Southampton on behalf of fake buyers. Prosecutors say the schemers pocketed the mortgage money and left the houses without owners and in foreclosure.

Prosecutors allege that George O. Guldi, a lawyer in private practice in Westhampton Beach and former member of the Suffolk County Legislature, handled the legal work in dozens of fraudulent transactions that made him millions. A second lawyer, Ethan E. Ellner of Plainview, is alleged to have used his title company to create fake titles used in the scam. A third lawyer, Dustin J. Dente of Roslyn, is also alleged to have participated in the scheme.

The fake buyers were recruited from among the clients of Arena Studios, a sexual fetish fantasy business owned by dominatrix Carrie Coakley and her husband, Donald MacPherson, prosecutors charge. The business provides a "beautifully decorated and fully equipped private dungeon" where clients and dominatrixes can meet.

At a news conference this week, Suffolk District Attorney Thomas J. Spota said that clients of the dungeon were recruited to take part in the scheme as straw buyers in exchange for payments of $5,000 to $10,000. Mortgage documents would grossly overstate their income and employment information so that they would qualify for millions of dollars in mortgage loans.